Certain models of the Renault Zoe EV are to benefit from a percentage change to the plug-in car grant.
From 1 April 2015, eligible cars will qualify for a 35% grant off the basic price of the car. The cap will remain at £5,000 for all cars, regardless of which category they are in, until further notice.
As certain models of the Zoe are priced below £20,000, the amount of grant they can claim is now increased.
Ken Ramirez, managing director, Renault UK said: "We welcome the changes announced today by OLEV as the move to a banding system for grant funding recognises the real-world practicality and zero tailpipe emission advantages that electric vehicles have over other types of alternative fuel vehicles.
"The Renault Zoe hatchback was already the most affordable electric vehicle on the market. The move to the 35 per cent funding for cars in the lowest emitting band will make a Zoe even more affordable and encourage yet more motorists to move to zero tailpipe emission vehicles."
A Renault Zoe will reduce in price by £552 on the Expression trim level and by £152 on the Dynamique trim levels.
Base level battery rental editions of the Nissan Leaf will also see a small price reduction thanks to the grant change.